KaratGold Coin (KBC): A Cryptocurrency Swappable for Gold
Cryptocurrency and Gold sometimes seem like they exist on two different planets. Cryptocurrency is new and poorly understood. Gold is older than history, and pretty much everybody understands what it is and how it works. Cryptocurrency is used almost exclusively on the internet, while gold is traded in person and by mail. What could these two forms of wealth storage possibly have to do with each other?
Until recently, not much. Bitcoin might be called “digital gold” as a kind of nickname, but no gold was actually involved in the Bitcoin universe. Then people started backing alternative cryptocurrencies with assets like Dollars. Later, a handful of companies started backing cryptocurrencies with gold. This would mean that the value of the cryptocurrency was equivalent to that of the gold that backed it, but this connection would be pretty tenuous until someone made it possible to trade cryptocurrency directly for the gold that gave it value.
This is the innovation that makes KaratGold Coin (KBC) significant. KBC was introduced to the world in February 2019. The KaratGold Coin ICO was carried out by Karatbars International, using the Ethereum blockchain. Karatbars is a gold company that specializes in small quantity gold products, which are useful as currency.
You see, gold hasn’t been very useful as money in a long time. It’s just too valuable. When a single gold coin is worth $500 or more, it makes it impractical to transact for daily purchases, because the receiving party would have to make too much change. Karatbars got around this limitation by portioning their gold in very small amounts. One CashGold note (one of Karatbars’ premiere products) contains only 0.1 grams of gold, worth about $4 at present values.
KBC is tied to the price of CashGold, and each KBC is worth a specific portion of a single CashGold note. KaratGold Coin ownership is therefore remote gold ownership, especially because starting July 4, 2019, KBC will be swappable for CashGold (at participating ATMs). This means that users can buy gold in the form of cryptocurrency. But why would anyone want to do that.
KBC is a desirable asset because it turns gold into money. KBC is spendable online at thousands of online retailers, through the K-Merchant app of the Karatbars International corporation. With this part of the equation filled in, it’s now possible to buy KBC (and, by extension, gold) with Bitcoin, Ethereum, or fiat currencies, then spend it online for whatever purpose you want.
KBC is also spendable for service on the IMpulse K1 smartphone, a blockchain powered first-of-its-kind device for crypto users and more. All told, these Karatbars products and services have carried gold into the digital age, using modern technologies that once seemed infinitely far removed from the world of gold investing. Linked to the phone, Karatbars presents a clear utility of Karatgold Coin being that KBC serves as a credit for phone calls.
Cryptocurrency investors can invest in KBC today. They can use it as a stablecoin, as remote investment of gold, or as a form of money for the K-Merchant app and IMpulse K1 smartphone. It’s a remarkable suite of products, all driven by the perennial value proposition of gold.